Add USDT Support
01Summary
Proposal to add Tether (USDT) as a supported asset on Compound with zero collateral and reserve factors, using a $1 price peg, and implementing a jump-rate interest model (2% to 40% range). The cUSDT token is upgradable and has been audited by OpenZeppelin.
- Type
- protocol addition
Key changes
- Add Tether (USDT) as a supported market on Compound(high)
- Set price oracle for USDT with conservative $1 peg to protect collateral requirements from underlying asset weakness(high)
- Deploy upgradable cUSDT token with transfer fee accommodation(high)
- Implement jump-rate interest rate model: 2% at 0% utilization, 20% at 90% utilization, 40% at 100% utilization(medium)
- Set collateral factor and reserve factor to zero for USDT(medium)
Notable concerns
- cUSDT is an upgradable contract, allowing future modifications
- USDT price peg mechanism means collateral value does not reflect actual market price movements of the underlying asset
Generated by Kvorum
02Description
Add USDT Support
In a September 2019 vote, users were given an opportunity to select which assets they favored adding to Compound; Maker and Tether (USDT) led the poll.
This proposal adds Tether as a supported asset, with no collateral factor or reserve factor, and updates the Compound price feed to conservatively peg Tether to $1. By using a peg, weakness in the underlying asset won’t change collateral requirements for users borrowing Tether.
The initial interest rate model for Tether is a jump-rate model which ranges from 2% at 0% utilization, to 20% at 90% utilization, then jumps to 40% at 100% utilization.
cUSDT is an upgradable cToken contract that has been modified to accommodate potential transfer fees in the underlying token. The cToken contract has been reviewed by OpenZeppelin and the Compound team.
03Mismatch analysis
The proposal has two on-chain actions: _supportMarket, which adds the cUSDT market to the Comptroller, and _setPriceOracle, which swaps in a new price oracle contract. Both map directly to the two concrete actions claimed in the description: 'adds Tether as a supported asset' and 'updates the Compound price feed to conservatively peg Tether to $1.' Replacing the entire oracle contract (rather than just adding a single price feed entry) is consistent with how Compound's oracle architecture worked at this time — new oracle contracts were deployed that wrapped the old oracle's logic for existing assets while adding fixed-price logic for the new asset, so the ‘price feed update’ characterization is not misleading given historical context. The 'no collateral factor or reserve factor' claim is consistent with the calldata since _supportMarket does not set a collateral factor (defaults to zero), and no reserve-factor-setting call is present, matching the claim of leaving those at zero/default. The interest rate model and cToken audit details are background/context about an already-deployed contract, not actions this governance proposal executes, so their absence from calldata is expected and not a discrepancy. No numeric or target mismatches were found between the two on-chain calls and the prose. Confidence is high because the proposal is short, specific, and both actions cleanly correspond to explicit prose claims.
Generated by Kvorum
04Actions
- Target
- 0x3d98…cd3b
- Value
- 0 wei
- Function
- _supportMarket(address)
- Arguments
{ "0": "0xf650C3d88D12dB855b8bf7D11Be6C55A4e07dCC9" }- Calldata
- Target
- 0x3d98…cd3b
- Value
- 0 wei
- Function
- _setPriceOracle(address)
- Arguments
{ "0": "0xDDc46a3B076aec7ab3Fc37420A8eDd2959764Ec4" }- Calldata
05Tally
Summed from votes
06Voters
| Voter | Choice | % of total | Rationale | ||
|---|---|---|---|---|---|
| ED0xed40…08ff | For | 325.7K | 36.86% | — | 7y ago |
| 810x8169…9806 | For | 101K | 11.43% | — | 7y ago |
| E50xe5a5…beb9 | For | 100K | 11.32% | — | 7y ago |
| 1D0x1d29…5d1f | For | 50K | 5.66% | — | 7y ago |
| AF0xaf7e…afad | Against | 25K | 2.83% | — | 7y ago |
| BE0xbe1f…5733 | For | 25K | 2.83% | — | 7y ago |
| 2F0x2fd6…ba43 | For | 25K | 2.83% | — | 7y ago |
| 660x6626…c35c | For | 25K | 2.83% | — | 7y ago |
| D60xd681…7d6e | For | 24.1K | 2.73% | — | 7y ago |
| B00xb032…449b | For | 24.1K | 2.73% | — | 7y ago |
| 540x54a3…e189 | For | 22.5K | 2.55% | — | 7y ago |
| E60xe6b2…bcff | Against | 18.1K | 2.05% | — | 7y ago |
| 980x98ea…4cd7 | For | 15K | 1.70% | — | 7y ago |
| E50xe5b5…4b03 | For | 15K | 1.70% | — | 7y ago |
| MYmykel.eth0xa0dc…c432 | For | 13K | 1.47% | — | 7y ago |
| 7F0x7f89…58c4 | For | 13K | 1.47% | — | 7y ago |
| 870x8703…87be | Against | 12.5K | 1.41% | — | 7y ago |
| CF0xcfae…135a | Against | 10K | 1.13% | — | 7y ago |
| BB0xbbd1…172e | Against | 10K | 1.13% | — | 7y ago |
| BAbanked.eth0xfdaa…3733 | Against | 10K | 1.13% | — | 7y ago |
| 580x582c…d468 | For | 9.8K | 1.11% | — | 7y ago |
| DAdakeshi.eth0xe3c9…6b21 | For | 5K | 0.57% | — | 7y ago |
| 8F0x8fe1…572d | For | 4.7K | 0.54% | — | 7y ago |
| 180x181f…4b56 | For | 1 | 0.00% | — | 7y ago |
07Forum
No forum thread is confidently linked to this proposal.
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